Bitcoin approaches $79,000 resistance as trader notes repeat local top pattern

Bitcoin is approaching a critical area where chart resistance near $79,000 to $80,000 intersects with a major short liquidation cluster around $76,500. The setup suggests BTC could attempt one more push higher to clear nearby liquidity before facing renewed downside pressure.

Chart setup points to a potential local top near $79,000–$80,000

Bitcoin may be moving toward another local top near $79,000 to $80,000, according to a chart shared by Ted on X. The weekly BTCUSD chart on Bitstamp shows Bitcoin trading near $75,000 after rebounding from a sharp drop earlier this year.

The analysis centers on a pattern observed at the last two local tops, when price pushed above the high of the prior capitulation candle before reversing. In the current recovery, BTC followed a deep selloff that drove it toward the low $60,000 area, then climbed steadily and is now nearing the resistance zone around $79,000.

That resistance area also aligns with the high of the most recent capitulation candle, which Ted says is the key level to watch if the same pattern repeats. In the previous two topping formations, Bitcoin first reclaimed the capitulation candle high and then peaked shortly after.

Ted expects a similar move this time and said he plans to short BTC in the $79,000 to $80,000 range if price reaches that zone. However, the chart does not confirm a top yet: Bitcoin remains below the resistance area, and the rebound is still ongoing.

The next move is therefore critical. If BTC enters the $79,000 to $80,000 zone and stalls, it could strengthen the case for another local peak. If it breaks through cleanly, the pattern may fail.

Traders watch two liquidation clusters: $76,500 and $69,500

Bitcoin is also trading between two major liquidation clusters, based on a heatmap shared by Ted on X. The chart highlights a short liquidation zone near $76,500 on the upside and a long liquidation zone near $69,500 on the downside.

The heatmap from CoinGlass indicates where leveraged positions are concentrated. Brighter yellow bands typically represent heavier liquidity, which can pull price toward those levels as positions are forced out. In this case, the upper cluster near $76,500 is framed as the main short squeeze area, while the lower cluster near $69,500 is described as the larger downside liquidation pocket.

Base case: retest of the week’s high before a broader downtrend

Ted said his base case is that Bitcoin retests this week’s high before the broader downtrend resumes. That scenario implies a move into the upper liquidity area first, followed by a reversal lower.

If that path develops, traders would then likely monitor whether the market begins moving toward the lower $69,500 liquidation cluster. While the chart does not confirm the sequence yet, it frames the near-term battleground as BTC being pulled between two liquidity “magnets,” with the next major move depending on which side gets cleared first.